TORONTO, Aug. 28, 2013 /CNW/ - NWM Mining Corporation ("NWM" or the "Company") (TSX-V: NWM) is pleased to provide an update on mining operations at the company's new Gold Ridge open pit. The Gold Ridge zone of mineralization is located approximately 300m west and runs approximately parallel to the Lluvia de Oro open pit ("Creston pit") which has been the source of essentially all the ore mined to date at the Lluvia de Oro site. As of the end of July 2013 the company has mined approximately 3,700 ounces (240,000 tonnes at 0.48 g/t gold) from the new Gold Ridge pit to supplement production from the project's primary Creston pit operations.
Highlights from the recent drilling at Gold Ridge are listed below (details in Table 1):
- Only the near surface portions (40m maximum depth) of a relatively small area of the Gold Ridge structure were drilled as part of the company's current infill drill program which was aimed primarily at upgrading resources at the primary Lluvia de Oro (Creston) deposit.
- Results demonstrated excellent continuity of mineralization over an area of approximately 400m x 100m and down to a maximum 40m depth. The structure's western limit has been well defined over this area but mineralization remains open along strike, at depth and to the east.
- Total surface strike length of the Gold Ridge structure appears to be in excess of 2 km allowing for significant upside resource potential in the Phase 2 drill program planned for the end of 2013.
- The grades of the mineralization drilled at Gold Ridge are comparable to those seen at the Creston pit (see results in Table 1 for intervals in excess of current 0.15 g/t mine cut-off)
- Metallurgical testwork on samples from the area have confirmed the amenability of the mineralization to heap leach gold recovery.
- A second similar parallel structure appears to exist east of the Creston pit where previous drilling/sampling had also shown strong indications of mineralization. The recent success at Gold Ridge means that this structure is also now a primary target for the next phases of resource expansion drilling.
An estimate of the resource potential for this zone of the Gold Ridge deposit will be included as part of the company's updated resource/reserve study planned by the end of September 2013. An additional news release update is pending to summarize the results of the Phase 1 drilling completed at the company's primary Lluvia de Oro (Creston pit) resource.
"The definition of a significant new zone of near surface mineralization is one of the high points from the company's recent Phase 1 drill program and clearly demonstrates the potential for discovering new gold resources at the Lluvia de Oro project. It is the direct result of the efforts of the company's new exploration team which was assembled in early 2013 and another concrete example of the positive results being achieved following the reorganization of the Mexican mining operations," said Darren Koningen (NWM Mining Interim CEO). "Our exploration team has developed a new and comprehensive geological model to explain the most likely sources of mineralization in the immediate vicinity of the Lluvia de Oro deposit. The Gold Ridge lithologies appear to be the surface extensions of the deeper zones of mineralized metamorphic material encountered below the current Lluvia de Oro reserves. Our success at confirming the potential of this area clearly validates the evolving models and immediately opens up other opportunities for gold mineralization at similar surface structures that have also been identified within close proximity to the Creston pit."
The Company also reports that the investor relations agreement with USA Investor Link LLC as previously announced on February 19, 2013 has expired and was not renewed.
This press release has been reviewed by Mr. Darren Koningen, P. Eng., MWM Mining's Interim CEO and President. Mr. Koningen is a Qualified Person under National Instrument 43-101.
All RC drill samples were collected by NWM Mining personnel including the company's exploration geologists and trained mine technicians. RC drill samples were collected every 1.5m in two 5 gallon buckets. The entire sample is then weighed and split in half using a single Jones-type splitter. One half of the sample is then further reduced, through the Jones splitter with one half (one quarter of the original sample) bagged for analysis at the NWM laboratory facilities. The remaining half is bagged for storage in the project warehouse. Blanks, duplicates and standards were randomly inserted with the samples sent for analysis as part of the normal QA/QC procedures.
All samples were prepared and analyzed for gold using fire assay procedures with an Atomic Absorption Spectroscopy ("AAS") finish. Check samples were sent from the NWM laboratory facilities to ALS-Chemex in Hermosillo, Mexico for QA/QC purposes.
Table 1. Gold Ridge Phase 1 Drill Results
|Complete Intervals*1||>0.15 g/t gold cut-off*2|
|RC13-37||minor intervals of mineralization|
|RC13-45||minor intervals of mineralization|
|RC13-39/41/59/60/61/62 contained no significant mineralization.|
- Grade/width of mineralized intersection as shown is complete interval "from" "to" drill depths as shown.
- Grade/width as shown is total of only those mineralized individual drill composite samples that have gold grade in excess of cut-off at current Lluvia de Oro mining operations (0.15 g/t gold)
- 28 drill holes were completed in the current drill program for a total of 1150 meters.
- All holes were drilled vertically and were not completed to the ultimate margins of the mineralization. Therefore it cannot be certain that the drill widths outlined in Table 1 represent the true widths of the mineralization.
About NWM Mining Corporation
NWM is in commercial gold production at its wholly owned Lluvia gold project. The mine is an open pit heap leach operation in Sonora State, Mexico. Management believes the property is significantly under-explored and hosts potential to provide further gold discoveries and resource and reserve upgrades. While management has focused in the past on developing the mine and supporting cash flows, the focus in 2013 will shift to increasing mining rates and drilling to expand geological resources and reserves.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy of this release.
CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION
This news release includes "forward-looking information", as such term is defined in applicable securities laws. Forward-looking information includes, without limitation, the success of exploration activities, price outlooks, production expectations and other similar statements concerning anticipated future events, conditions or results that are not historical facts. These statements reflect management's current estimates, beliefs, intentions and expectations; they are not guarantees of future performance. The Company cautions that all forward looking information is inherently uncertain and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Accordingly, actual future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. All statements are made as of the date of this news release and the Company is under no obligation to update or alter any forward-looking information.
SOURCE NWM Mining Corporation